Top EU Court Official Supports VAT-Free Bitcoin Sales
Professing that the Bitcoin is a form of money, the Advocate General of the European Court of Justice (ECJ), Juliane Kokott, said that the digital currency should be exempt from Value Added Tax (VAT). The proposal came in response to the Swedish tax office's request to defog the tax status of Bitcoin in Europe, and end all the legal uncertainties that surrounds it in the current regulatory climate. At that time, the Swedish authority had challenged a court decision that had excused Bitcoin transactions from Bitcoin operations from falling under the VAT's purview. The EU's highest court,....
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Today, the 22nd of October, The European Union’s top court ruled that Bitcoin and digital currencies should be exempt from sales taxes within the 28-country block. The European Court of Justice stated it saw no reason to treat Bitcoin differently transactions involving Fiat currency used as legal tender. The Court ruling was made clear following a complaint by a Swedish entrepreneur wanting to provide a service on a Bitcoin exchange which involved other traditional currencies. The Swedish entrepreneur wrote to the court arguing that the service should be tax-free.
Bitcoin operations should be exempt from Value Added Tax (VAT), the Advocate General of the European Court of Justice said in an opinion document published today. Citing existing exemptions for currency and money transactions in Europe's VAT Directive, Advocate General Juliane Kokott urged the court to opt against applying a tax to bitcoin purchases and sales. She further argued that bitcoin, while not legal tender, is still a form of money. Kokott wrote in the opinion: "I therefore propose that the Court should reply...[that] these operations are exempt from tax under section 135,....
Tether USDT stablecoin cannot be used for salary payments, a Chinese court ruled, citing the country’s blanket ban on all types of crypto transactions. Despite the Chinese government banning all kinds of cryptocurrency transactions last year, some firms apparently still use stablecoins like Tether (USDT) to pay their employees.Beijing’s Chaoyang District People’s Court has ruled that stablecoins like USDT cannot be used for salary payments, the local news agency Beijing Daily reported on July 6.The Chinese court stated that virtual currencies like USDT cannot circulate in the market as a....
Earlier this week, the European Court of Justice decided to exempt bitcoin transactions from Value Added Tax (VAT). In so doing, the court effectively recognized bitcoin as a legitimate means of payment in Europe, putting it in the same realm as other currencies for tax purposes. The ruling comes months after court advocate general Juliane Kokott said the court should refrain from applying tax to bitcoin sales and purchases in an opinion published in July. Europe's highest law court first began looking into bitcoin taxation in June last year after the Swedish tax office challenged a court....
Bitcoin transactions will be exempt from Value Added Tax (VAT), the European Court of Justice (ECJ) has ruled. According to the Financial Times, the ECJ said that bitcoin transactions "are exempt from VAT under the provision concerning transactions relating to currency, bank notes and coins used as legal tender." The ECJ's long-awaited ruling comes after its Advocate General Juliane Kokott urged the court to refrain from applying tax to bitcoin purchases and sales, in an opinion document published in July. The European court first looked into bitcoin taxation in June last year after the....